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Kenya · KRA VAT 3

Kenya VAT Return — box-by-box guide

Kenya's VAT Act 2013 (Cap. 476) sets the standard rate at 16%. All VAT-registered businesses must file the VAT 3 return with the Kenya Revenue Authority (KRA) via iTax by the 20th of the month following the tax period. Registration is mandatory once annual taxable turnover exceeds KES 5,000,000. HelloBooks computes every box from your ledger and prepopulates the VAT 3 for review before you submit.

KRA VAT 3 — box reference

BoxLabelWhat it includes
Box 1Standard rated supplies (16%)Total value of taxable supplies subject to the standard 16% Kenya VAT rate, net of VAT. Includes all domestic goods and services not zero-rated or exempt.
Box 2Output VATVAT charged on standard rated supplies — Box 1 × 16%. This is the VAT collected from customers and owed to the Kenya Revenue Authority.
Box 3Zero-rated suppliesExports of goods, international services, and supplies to EPZ/SEZ entities — taxable at 0%. Input VAT on related costs remains claimable.
Box 4Exempt suppliesSupplies exempt from VAT under the Second Schedule of the VAT Act 2013 — e.g. unprocessed food, certain medicines, financial services, educational services, and residential accommodation.
Box 5Standard rated purchasesTotal value of taxable purchases on which 16% Kenya VAT was charged by suppliers. Used to compute claimable input VAT.
Box 6Input VAT claimableVAT paid on business purchases that can be offset against output VAT. HelloBooks applies the standard apportionment method where both taxable and exempt supplies exist.
Net VATNet VAT payable / (excess credit)Box 2 minus Box 6. A positive balance is remitted to the KRA by the 20th of the following month. An excess credit is carried forward automatically.

Key facts for Kenya VAT

Standard rate
16%
Zero rate
0% — exports, international services, EPZ/SEZ supplies
Filing frequency
Monthly
Deadline
20th of the month following the tax period
Registration threshold
KES 5,000,000 annual taxable turnover
Filing portal
KRA iTax Portal (itax.kra.go.ke)
Governing authority
Kenya Revenue Authority (KRA)
Governing law
VAT Act 2013 (Cap. 476)

Page last reviewed: 2026-06-16.